An Ohio couple accused of refusing to rent apartments to black people because they 'decrease the value of the complexes' have agreed to pay $850,000 to settle a lawsuit.

John and Mary Ruth, who own three apartment complexes in Massillon, 20 miles south of Akron, had also been accused of discriminating against families with children, allegedly telling managers they 'should be restricted to basement or first floor units'.

The couple have now agreed to pay $650,000 in damages and legal fees to a number of plaintiffs in the lawsuit filed by the Ohio Civil Rights Commission, Stark County, former residents and employees.

An Ohio couple accused of refusing to rent apartments to black people because they 'decrease the value of the complexes' have agreed to pay $850,000 to settle a lawsuit

They will also pay a $25,000 fine to the government and $175,000 in damages to 11 former residents and employees.

The couple has agreed a consent order which sees the lawsuit resolved without trial and without the Ruths admitting guilt, the US Attorney's Office spokesman Mike Tobin told Reuters.

A statement issued by the Department of Justice yesterday said the settlement must still be approved by United States District Judge John R. Adams in the Northern District of Ohio.

The lawsuit had alleged the Ruths discriminated against African Americans and families with children at the apartments - Yorkshire Apartments, Thackeray Ledges and Wales Ridge - in Massillon, Ohio.

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According to the court documents, ten former employees of the couple testified they were told to discriminate against African-Americans.

According to court documents, the couple told managers, 'that African-American tenants were undesirable and decreased the value of the complexes'.

It is also claimed the couple said families with children were also not desirable and 'should be restricted to basement or first floor units.'

Former employees were interviewed for the lawsuit, which was filed in October 2011.

John and Mary Ruth own three apartment complexes in Massillon, 20 miles south of Akron, Ohio

They claimed tenants in the apartments faced 'discriminatory treatment in an effort to induce them to move out', while managers were threatened with being fired if they did not come up with grounds to evict them.

Molly Moran, Acting Assistant Attorney General for the Civil Rights Division, said: 'It is a sad fact that decades after the passage of the Fair Housing Act, many people still face unlawful discrimination when looking for housing.

'The magnitude of this settlement makes clear that the Department of Justice will vigorously pursue violations of the Fair Housing Act.'

As part of the settlement, the defendants and all employees will be required to undergo anti-discrimination training.

The Ruths meanwhile will also be required to hire an independent management company for the running of all properties and report to the FHA for a period of three years on their compliance with the settlement.

U.S. Attorney Steven M.Dettelbach, for the Northern District of Ohio, said: 'The freedom of every family to live where they wish, without regard to their race or if they have kids, is basic to who we are in this country.

'When landlords deny that basic right, there will be consequences. We will continue to work hard to ensure that this fundamental right is protected in Ohio and across the nation.'